Robust domestic demand lifts Cia Hering’s Q3 sales

January 24, 2014 (Brazil)

Driven by robust sales numbers, Brazil’s Cia Hering, which is engaged in the fashion industry, witnessed a healthy rise in net profit in the third quarter of 2013.

The company, which is one of the largest retail and apparel designers and manufacturers in Brazil, reported a consolidated rise of 12 per cent in gross revenue at R$ 435 million in Q3 2013 from R$ 388 million in the same period a year ago driven by higher revenues from domestic and foreign markets.

Revenue from domestic markets on a consolidated basis grew by 12.1 per cent to R$ 427 million in Q3 2013 from R$ 380 million in the same period a year ago aided by healthy performance from all its major brands.

The company’s major brand Hering witnessed a 10.7 per cent rise in consolidated sales at R$ 309 million in Q3 2013 from the same period a year ago driven by strong performance in the multi-brand channel.

Gross sales of the Hering Kids brand rose by 36.5 per cent, year on year at R$ 46 million in Q3 2013.

Gross revenue from overseas markets on a consolidated basis grew by 5.3 per cent, year on year in the third quarter of 2013.

The company posted net revenue growth of 11.4 per cent at R$ 361 million in Q3 2013 from R$ 323 million in the same period a year ago.

In the backdrop of higher revenue, Cia Hering posted a consolidated net profit of R$ 58.2 million in Q3 2013, up by 6.7 per cent from R$ 54.6 million in the same period a year ago.